Conference call on TI website at 3:30 p.m. Central time today
DALLAS, July 25, 2023 — (PRNewswire) — Texas Instruments Incorporated (TI) (Nasdaq: TXN) today reported second quarter revenue of $4.53 billion, net income of $1.72 billion and earnings per share of $1.87.Regarding the company's performance and returns to shareholders, Haviv Ilan, TI's president and CEO, made the following comments:
- "Revenue increased 3% sequentially and decreased 13% from the same quarter a year ago. Similar to last quarter, we experienced weakness across our end markets with the exception of automotive.
- "Our cash flow from operations of $7.4 billion for the trailing 12 months again underscored the strength of our business model, the quality of our product portfolio and the benefit of 300-mm production. Free cash flow for the same period was $3.2 billion and 17% of revenue.
- "Over the past 12 months we invested $3.6 billion in R&D and SG&A, invested $4.2 billion in capital expenditures and returned $6.5 billion to owners.
- "TI's third quarter outlook is for revenue in the range of $4.36 billion to $4.74 billion and earnings per share between $1.68 and $1.92. We continue to expect our 2023 effective tax rate to be about 13% to 14%."
Free cash flow, a non-GAAP financial measure, is cash flow from operations less capital expenditures.
Earnings summary
(In millions, except per-share amounts) |
| Q2 2023 |
| Q2 2022 |
| Change |
Revenue |
| $ 4,531 |
| $ 5,212 |
| (13) % |
Operating profit |
| $ 1,972 |
| $ 2,723 |
| (28) % |
Net income |
| $ 1,722 |
| $ 2,291 |
| (25) % |
Earnings per share |
| $ 1.87 |
| $ 2.45 |
| (24) % |
Cash generation
|
|
|
|
| Trailing 12 Months | ||||
(In millions) |
| Q2 2023 |
| Q2 2023 |
| Q2 2022 |
| Change |
Cash flow from operations |
| $ 1,399 |
| $ 7,367 |
| $ 8,697 |
| (15) % |
Capital expenditures |
| $ 1,446 |
| $ 4,185 |
| $ 2,808 |
| 49 % |
Free cash flow |
| $ (47) |
| $ 3,182 |
| $ 5,889 |
| (46) % |
| Free cash flow % of revenue |
|
|
| 16.9 % |
| 30.1 % |
|
|
